Mumbai and Pune See 17% Drop in Housing Sales Amid Rising Property Prices
Housing sales in the Mumbai region and Pune declined by 17% in the July-September period, primarily due to lower demand and a sharp increase in property prices. Thane, Mumbai city, and Navi Mumbai also experienced significant drops in sales.
MumbaiPuneProperty PricesHousing MarketReal EstateReal Estate MumbaiOct 03, 2025
Sales in the primary housing market of Thane in the Mumbai Metropolitan Region (MMR) saw a 28% decline, falling to 14,877 units from 20,620 units. In Mumbai city, sales dipped by 8% to 9,691 units from 10,480 units, while Navi Mumbai witnessed a 6% fall to 7,212 units from 7,650 units.
In Pune, a key housing market in Maharashtra, the housing sales fell by 16% to 17,762 units during July-September 2025 from 21,066 units in the corresponding period of the previous year.
Commenting on the market scenario of MMR, the realtors' apex body CREDAI's Mumbai chapter stated that the fall in sales during the September quarter is not a cause for concern. They predict that demand will bounce back during the festive season, which began on September 22.
Sukhraj Nahar, President of CREDAI-MCHI, noted, 'While Q3 reflected a period of market recalibration, the demand drivers for housing in MMR and Pune remain extremely robust. Infrastructure upgrades like Metro corridors, coastal roads, and NMIA continue to act as strong long-term catalysts.'
Rushi Mehta, Secretary of CREDAI-MCHI, added that the end-user demand is still intact. 'Short-term fluctuations are largely due to the high base effect and cautious launches. Developers are aligning supply with genuine demand, which will ensure long-term market stability,' he explained.
Nikunj Sanghavi, Treasurer of CREDAI-MCHI, highlighted that MMR and Pune together account for nearly half of India's housing market, underscoring their dominance. 'Investor confidence remains strong, supported by stable interest rates and regulatory clarity under RERA,' he said.
Looking ahead, Sanghavi believes that the second half of FY25 will see an uptick in absorption, aided by festive demand and policy push towards affordable and mid-segment housing.
In the Pune market, Rohit Gera, Managing Director of Gera Developments, noted that the decline in sales reflects a temporary softening as buyers are taking a more considered approach amid broader economic factors. On a positive note, he pointed out that new launches in Pune rose by 49% YoY, signaling strong developer confidence regarding future demand.
Pune continues to remain a preferred destination for homebuyers due to its robust employment ecosystem, growing infrastructure, and end-user driven demand. With recent GST reforms and a repo rate cut, homebuyer sentiment is expected to get a boost, making housing more accessible and attractive, Gera said. He believes that the current slowdown is cyclical, and with the festive season and ongoing infrastructure projects, sales momentum is likely to pick up in the coming quarters.
According to PropEquity, the housing sales in India's top 9 cities fell by 4% YoY and 1% QoQ to 100,370 units in the July-September period. The top 9 cities include Bengaluru, Hyderabad, Chennai, Mumbai, Navi Mumbai, Thane, Pune, Kolkata, and Delhi-NCR.
Frequently Asked Questions
What is the main reason for the decline in housing sales in Mumbai and Pune?
The main reason for the decline in housing sales in Mumbai and Pune is the lower demand and a sharp increase in property prices.
How much did housing sales decline in Thane, Mumbai city, and Navi Mumbai?
In Thane, housing sales declined by 28%, in Mumbai city by 8%, and in Navi Mumbai by 6%.
What is the forecast for the housing market in MMR and Pune during the festive season?
The forecast for the housing market in MMR and Pune during the festive season is positive, with expectations of a bounce back in demand.
What factors are driving the housing market in Pune despite the decline in sales?
The factors driving the housing market in Pune include a robust employment ecosystem, growing infrastructure, and end-user driven demand, along with recent GST reforms and a repo rate cut.
What is the overall trend in housing sales in India's top 9 cities?
The overall trend in housing sales in India's top 9 cities is a 4% decline YoY and a 1% decline QoQ to 100,370 units in the July-September period.
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